What happens to health policy after divorce?
What happens to health policy after divorce?
Untying the knot is always a stressful experience with so many responsibilities on your mind. Often you have to balance social, work and childcare concerns. Such a parting, even when mutual, has financial implications for the separated couple. When there is already a lot of uncertainty, safeguarding your health and financial security would be helpful in providing some mental peace.
While you are adjusting to a separation or a divorce, an immediate priority should be to purchase your own health insurance plan. You are then reassured, knowing that you will be better prepared for an unexpected illness, hospitalization or any other medical emergencies. Technically your spouse’s insurance cannot continue to cover you as you are no longer his or her partner.
Impact on Health Insurance after a divorce – Think ahead and plan well
Very important is to have a copy of your family insurance policy in your custody.
Since there are different situations surrounding divorces, perhaps involving children and custody agreements, it is challenging to define one plan for everyone. However, having a good health insurance policy in your name and your child's name is essential across different scenarios and requirements. If possible, get your policy separated before the divorce is finalized. After divorce, your husband can still insure your children but may no longer choose to insure you. To prevent any gaps in coverage it is crucial to have an individual plan.
If you were not able to separate the policy beforehand, there are plenty of choices available even after divorce!
Informing the Insurer: It is crucial to inform your insurance company, that has issued your family plan, of the divorce even while proceedings are ongoing. This safeguards your and your children’s interests and avoids issues in the future, especially if the key policyholder is your ex-partner. All health policies allow for the policyholders to remove a family member from the plan without providing any notice to the individual. Therefore, by pursuing your insurer of the situation, through a legal notice, you could request to be updated about changes to existing policies.
Converting a policy: Some health plans permit family floaters to be converted into individual plan options. If your insurers allow this, you could change your family floater to an individual cover and even port (transfer) to another policy upon renewal. (Such conditions vary according to insurer and plan type)
Separating a policy: Another option is to ask whether your insurer could grant a fresh policy from your existing one with continuity benefits. Continuity benefits are important as they provide long-term benefits such as consideration of waiting periods that have been served. Some insurers accept the finalized divorce deed and allow separation of the policy.
Children’s health policies: When children are involved, do ensure that either your partner or you have a family policy to insure them adequately. A word of caution here is that health insurers offer the option of removing a beneficiary's name during the policy term. This means the principal policyholder can remove the children from the policy document. Therefore, if an ex-spouse stops paying the premium or modifies the health insurance plan after divorce, your children may suddenly not have coverage. To avoid such stress, make sure you purchase a separate policy covering yourself and your children for additional security.
Planning for your family’s insurance: Financial independence for women after a divorce is a big challenge. Between juggling work and home responsibilities, there is also concern for your children’s adjustment. With consistent health insurance, you can ensure that your child’s health and safety are secure, so you have one thing less to worry about. If you remain on good terms with your former partner, you could continue with the joint plan for your children only and split premium payments. This would free up some funds for your individual policy, as well as provide comfort that your family and your health are protected!
Related Article – Health Insurance for Single Mothers in India
Navigating health insurance and divorce can be confusing and overwhelming with complicated conditions and processes. In such a scenario consulting Health Insurance Experts at SANA.Insure can be reassuring. Sana.Insure can provide guidance with unbiased and comprehensive approach to choosing the best health plan for you and your family. Our portal hosts over 100 health insurance plans with all major plan features listed and explained in a simple non-legal manner. We also give you advice on your current policy and you can review your existing plan through SANA Check.
We invite you to visit https://sana.insure/ to receive customized suggestions factoring in your requirements. Log on to https://sana.insure/check-policy to learn more about your existing health insurance policy. You can also get in touch with us over WhatsApp chat on 8278271818 or call us on 1800 202 8118 to speak to a Health Insurance Expert at SANA.Insure.
Wish you a healthy and happy life!